CORRECTION -- Ibotta Reports Second Quarter 2024 Financial Results
Ibotta (NYSE: IBTA) reported strong Q2 2024 financial results, demonstrating the success of its pay-for-performance model. Key highlights include:
- Total revenue of $87.9 million, up 14% year-over-year (29% non-GAAP growth)
- Redemption revenue of $74.0 million, up 27% year-over-year (51% non-GAAP growth)
- 13.7 million redeemers, a 158% increase year-over-year
- 80.7 million redemptions, up 58% year-over-year
- Net loss of $34.0 million (39% of revenue)
- Adjusted EBITDA of $25.3 million (29% margin)
Ibotta completed its IPO on April 22, 2024, raising $198.0 million in net proceeds. The company also announced a strategic partnership with Instacart and provided Q3 2024 guidance projecting revenue of $91-$96 million and Adjusted EBITDA of $28-$32 million.
Ibotta (NYSE: IBTA) ha riportato risultati finanziari solidi per il secondo trimestre del 2024, dimostrando il successo del suo modello di pagamento basato sulle performance. I principali punti salienti includono:
- Ricavi totali di 87,9 milioni di dollari, in aumento del 14% rispetto all'anno precedente (crescita non-GAAP del 29%)
- Ricavi da riscatto di 74,0 milioni di dollari, in aumento del 27% rispetto all'anno precedente (crescita non-GAAP del 51%)
- 13,7 milioni di riscatto, un incremento del 158% rispetto all'anno precedente
- 80,7 milioni di riscatti, in aumento del 58% rispetto all'anno precedente
- Perdita netta di 34,0 milioni di dollari (39% dei ricavi)
- EBITDA rettificato di 25,3 milioni di dollari (margine del 29%)
Ibotta ha completato la sua IPO il 22 aprile 2024, raccogliendo 198,0 milioni di dollari in proventi netti. L'azienda ha anche annunciato una partnership strategica con Instacart e ha fornito indicazioni per il terzo trimestre del 2024 prevedendo ricavi tra 91 e 96 milioni di dollari e un EBITDA rettificato tra 28 e 32 milioni di dollari.
Ibotta (NYSE: IBTA) informó resultados financieros sólidos para el segundo trimestre de 2024, demostrando el éxito de su modelo de pago por desempeño. Los aspectos más destacados incluyen:
- Ingresos totales de 87,9 millones de dólares, un aumento del 14% interanual (crecimiento no-GAAP del 29%)
- Ingresos por redenciones de 74,0 millones de dólares, un aumento del 27% interanual (crecimiento no-GAAP del 51%)
- 13,7 millones de redentores, un incremento del 158% interanual
- 80,7 millones de redenciones, un aumento del 58% interanual
- Pérdida neta de 34,0 millones de dólares (39% de los ingresos)
- EBITDA ajustado de 25,3 millones de dólares (margen del 29%)
Ibotta completó su OPV el 22 de abril de 2024, recaudando 198,0 millones de dólares en ingresos netos. La compañía también anunció una asociación estratégica con Instacart y proporcionó orientación para el tercer trimestre de 2024, proyectando ingresos de 91 a 96 millones de dólares y EBITDA ajustado de 28 a 32 millones de dólares.
Ibotta (NYSE: IBTA)는 2024년 2분기 강력한 재무 결과를 발표하며 성과 기반의 지급 모델의 성공을 입증했습니다. 주요 사항은 다음과 같습니다:
- 총 수익 8,790만 달러, 전년 대비 14% 증가 (비-GAAP 성장 29%)
- 환급 수익 7,400만 달러, 전년 대비 27% 증가 (비-GAAP 성장 51%)
- 1,370만 명의 환급자, 전년 대비 158% 증가
- 8,070만 건의 환급, 전년 대비 58% 증가
- 순손실 3,400만 달러 (수익의 39%)
- 조정된 EBITDA 2,530만 달러 (29% 마진)
Ibotta는 2024년 4월 22일에 IPO를 완료하고 1억 9,800만 달러의 순수익을 확보했습니다. 회사는 또한 Instacart와의 전략적 파트너십을 발표하고 있으며, 2024년 3분기 가이던스를 제공하여 9,100만 달러에서 9,600만 달러의 수익과 2,800만 달러에서 3,200만 달러의 조정된 EBITDA를 예상하고 있습니다.
Ibotta (NYSE: IBTA) a annoncé des résultats financiers solides pour le deuxième trimestre de 2024, démontrant le succès de son modèle de paiement basé sur la performance. Les points forts incluent :
- Revenus totaux de 87,9 millions de dollars, en hausse de 14 % d'une année sur l'autre (croissance non-GAAP de 29 %)
- Revenus de rachat de 74,0 millions de dollars, en hausse de 27 % d'une année sur l'autre (croissance non-GAAP de 51 %)
- 13,7 millions de personnes ayant effectué des rachats, une augmentation de 158 % d'une année sur l'autre
- 80,7 millions de rachats, en hausse de 58 % d'une année sur l'autre
- Perte nette de 34,0 millions de dollars (39 % des revenus)
- EBITDA ajusté de 25,3 millions de dollars (marge de 29 %)
Ibotta a complété son introduction en bourse le 22 avril 2024, levant 198,0 millions de dollars de produits nets. L'entreprise a également annoncé un partenariat stratégique avec Instacart et a fourni des prévisions pour le troisième trimestre de 2024, projetant des revenus allant de 91 à 96 millions de dollars et un EBITDA ajusté de 28 à 32 millions de dollars.
Ibotta (NYSE: IBTA) hat starke Finanzresultate für das zweite Quartal 2024 berichtet, was den Erfolg seines leistungsbasierten Vergütungsmodells zeigt. Die wichtigsten Highlights umfassen:
- Gesamtumsatz von 87,9 Millionen Dollar, ein Anstieg von 14% im Vergleich zum Vorjahr (29% Nicht-GAAP-Wachstum)
- Einlösungsumsatz von 74,0 Millionen Dollar, ein Anstieg von 27% im Vergleich zum Vorjahr (51% Nicht-GAAP-Wachstum)
- 13,7 Millionen Einlöser, ein Anstieg von 158% im Vergleich zum Vorjahr
- 80,7 Millionen Einlösungen, ein Anstieg von 58% im Vergleich zum Vorjahr
- Nettoverlust von 34,0 Millionen Dollar (39% der Einnahmen)
- Bereinigtes EBITDA von 25,3 Millionen Dollar (29% Marge)
Ibotta hat am 22. April 2024 seinen Börsengang abgeschlossen und dabei einen Nettoerlös von 198,0 Millionen Dollar erzielt. Das Unternehmen gab außerdem eine strategische Partnerschaft mit Instacart bekannt und gab eine Prognose für das dritte Quartal 2024 ab, die einen Umsatz von 91 bis 96 Millionen Dollar und ein bereinigtes EBITDA von 28 bis 32 Millionen Dollar erwartet.
- Total revenue increased by 14% year-over-year to $87.9 million
- Non-GAAP revenue growth of 29% excluding one-time breakage benefit
- Redemption revenue grew by 27% year-over-year to $74.0 million
- Number of redeemers increased by 158% year-over-year to 13.7 million
- Total redemptions increased by 58% year-over-year to 80.7 million
- Adjusted EBITDA of $25.3 million, representing a 29% margin
- Completed IPO raising $198.0 million in net proceeds
- Announced strategic partnership with Instacart
- Generated net loss of $34.0 million, representing 39% of revenue
- Direct-to-consumer redemptions decreased by 19% year-over-year
- Direct-to-consumer redeemers decreased by 7% year-over-year
- Total redemptions per redeemer decreased by 39% year-over-year
Insights
Ibotta's Q2 2024 results show mixed signals. While revenue grew
The 158% increase in redeemers to 13.7 million and 58% growth in redemptions demonstrate strong user adoption, particularly in third-party publishers. The Walmart program expansion has been a key driver. The new partnerships with Family Dollar, AppCard, Schnucks and Instacart indicate potential for further growth.
Investors should monitor the high net loss and its sustainability, while considering the company's ability to generate cash from operations (
Ibotta's Q2 results reflect a shifting landscape in digital promotions. The company's pay-for-performance model is gaining traction, especially as CPG brands seek to reclaim market share in a challenging economic environment. The 51% non-GAAP redemption revenue growth underscores this trend.
The expansion into online grocery delivery through the Instacart partnership is a strategic move, tapping into a high-growth sector. This, combined with the 253% increase in third-party publisher redeemers, suggests Ibotta is successfully diversifying its reach beyond its direct-to-consumer app.
However, the decline in direct-to-consumer metrics (19% decrease in redemptions, 7% decrease in redeemers) warrants attention. It may indicate a shift in consumer behavior or increased competition. The company's ability to balance growth across all channels will be important for long-term success.
Ibotta's AI-enabled Ibotta Performance Network (IPN) is proving to be a key differentiator in the digital promotions space. The platform's ability to coordinate offers across multiple publishers is driving significant growth, as evidenced by the 231% increase in third-party publisher redemptions.
The company's tech-forward approach is also evident in its partnerships. The collaboration with Schnucks on R&D initiatives for personalized savings delivery showcases Ibotta's commitment to innovation. Additionally, the integration with AppCard's personalized marketing and shopper analytics solution demonstrates the scalability and adaptability of Ibotta's technology.
However, investors should note the potential tech debt indicated by the previous software error in maintenance fee charging. While fixed, it highlights the importance of robust quality assurance in Ibotta's systems, especially as the company scales rapidly.
DENVER, Aug. 14, 2024 (GLOBE NEWSWIRE) -- In a release issued under the same headline August 13, 2024 by Ibotta (NYSE: IBTA) please note that in the Condensed Statements of Cash Flows table, a Proceeds from initial public offering, net row has been added. Everything else remains the same. The corrected release follows.
Grew revenue by
Generated a net loss of
Announced Instacart as new IPN partner with revenue contribution expected to begin by end of year
Ibotta, Inc. (NYSE: IBTA), a leading technology company providing digital promotions and performance marketing solutions, today announced financial results for the second quarter ended June 30, 2024.
“Our strong second quarter results demonstrate that Ibotta’s pay-for-performance model is resonating with our clients and consumers,” said Ibotta CEO and founder, Bryan Leach. “In the current macroeconomic environment, now more than ever, CPG brands are turning to the IPN to win back market share, and that is leading to strong third-party redeemer and redemption growth. I am also excited about our recently announced strategic partnership with Instacart that highlights the expansion of our network into the promising vertical of online grocery delivery.”
Second Quarter 2024 Financial Highlights:
- Total revenue of
$87.9 million , representing year-over-year growth of14% . Excluding a one-time breakage benefit of$9.4 million in the second quarter of 2023, non-GAAP revenue growth was29% . - Total redemption revenue of
$74.0 million , an increase of27% year-over-year. Excluding a one-time D2C redemption revenue breakage benefit of$9.4 million in the second quarter of 2023, non-GAAP redemption revenue growth was51% . - During the quarter, the IPN had 13.7 million redeemers, compared to 5.3 million redeemers in the second quarter of 2023, an increase of
158% year-over-year. The primary driver of year-over-year growth was the expansion of the Walmart program (which initially launched in the third quarter of 2022 to members of Walmart’s paid membership program, Walmart+) to all Walmart customers with a Walmart.com account in the third quarter of 2023. - Increased redemptions to 80.7 million, compared to 51.2 million in the second quarter of 2023, an increase of
58% year-over-year. - Generated net loss of
$34.0 million , representing net loss as a percent of revenue of39% , and adjusted net income of$19.9 million , representing adjusted net income as a percent of revenue of23% . - Delivered Adjusted EBITDA of
$25.3 million , representing an Adjusted EBITDA margin of29% . - Generated cash from operating activities of
$35.0 million and free cash flow of$32.7 million . - On April 22, 2024, Ibotta completed its initial public offering (IPO), raising
$198.0 million in net proceeds by selling 2.5 million primary shares with an additional 5.0 million secondary shares sold by certain selling stockholders.
The following table summarizes the Company’s consolidated financial results for the three and six months ended June 30, 2024 and 2023:
| Three months ended June 30, | Six months ended June 30, | ||||||||||||||||||||
| 2024 | 2023 | % Change | 2024 | 2023 | % Change | ||||||||||||||||
| (in thousands, except per share figures and percentages) | |||||||||||||||||||||
| GAAP Results | |||||||||||||||||||||
| Redemption revenue | $ | 73,951 | $ | 58,271 | 27 | % | $ | 141,940 | $ | 99,974 | 42 | % | |||||||||
| Revenue | $ | 87,926 | $ | 77,385 | 14 | % | $ | 170,253 | $ | 135,076 | 26 | % | |||||||||
| Net (loss) income | $ | (33,966 | ) | $ | 15,341 | (321 | )% | $ | (24,669 | ) | $ | 11,058 | (323 | )% | |||||||
| Net (loss) income per share, diluted | $ | (1.32 | ) | $ | 0.58 | (328 | )% | $ | (1.41 | ) | $ | 0.42 | (436 | )% | |||||||
| Net (loss) income as a percent of revenue | (39 | )% | 20 | % | (295 | )% | (14 | )% | 8 | % | (275 | )% | |||||||||
| Non-GAAP Results | |||||||||||||||||||||
| Non-GAAP redemption revenue | $ | 73,951 | $ | 48,871 | 51 | % | $ | 141,940 | $ | 89,404 | 59 | % | |||||||||
| Non-GAAP revenue | $ | 87,926 | $ | 67,985 | 29 | % | $ | 170,253 | $ | 124,506 | 37 | % | |||||||||
| Adjusted EBITDA | $ | 25,274 | $ | 23,207 | 9 | % | $ | 47,933 | $ | 25,711 | 86 | % | |||||||||
| Adjusted EBITDA margin | 29 | % | 30 | % | (3 | )% | 28 | % | 19 | % | 48 | % | |||||||||
| Adjusted net income | $ | 19,859 | $ | 18,256 | 9 | % | $ | 35,257 | $ | 17,413 | 102 | % | |||||||||
| Adjusted net income per share, diluted | $ | 0.68 | $ | 0.69 | — | % | $ | 1.76 | $ | 0.66 | 168 | % | |||||||||
The following table summarizes the Company’s performance metrics for the three and six months ended June 30, 2024 and 2023:
| Three months ended June 30, | Six months ended June 30, | ||||||||||||||||
| 2024 | 2023 | % Change | 2024 | 2023 | % Change | ||||||||||||
| (in thousands, except per share figures and percentages) | |||||||||||||||||
| Performance Metrics | |||||||||||||||||
| Redemptions: | |||||||||||||||||
| Direct-to-consumer redemptions | 28,573 | 35,463 | (19 | )% | 56,248 | 67,150 | (16 | )% | |||||||||
| Third-party publisher redemptions | 52,142 | 15,738 | 231 | % | 95,934 | 27,324 | 251 | % | |||||||||
| Total redemptions | 80,715 | 51,201 | 58 | % | 152,181 | 94,474 | 61 | % | |||||||||
| Redeemers: | |||||||||||||||||
| Direct-to-consumer redeemers | 1,800 | 1,940 | (7 | )% | 1,864 | 1,944 | (4 | )% | |||||||||
| Third-party publisher redeemers | 11,902 | 3,375 | 253 | % | 11,230 | 3,055 | 268 | % | |||||||||
| Total redeemers | 13,702 | 5,315 | 158 | % | 13,095 | 4,999 | 162 | % | |||||||||
| Redemptions per redeemer: | |||||||||||||||||
| Direct-to-consumer redemptions per redeemer | 15.9 | 18.3 | (13 | )% | 30.2 | 34.5 | (12 | )% | |||||||||
| Third-party publisher redemptions per redeemer | 4.4 | 4.7 | (6 | )% | 8.5 | 8.9 | (4 | )% | |||||||||
| Total redemptions per redeemer | 5.9 | 9.6 | (39 | )% | 11.6 | 18.9 | (39 | )% | |||||||||
| Redemption revenue per redemption: | |||||||||||||||||
| Direct-to-consumer redemption revenue per redemption | $ | 1.13 | $ | 1.31 | (14 | )% | $ | 1.16 | $ | 1.19 | (3 | )% | |||||
| Third-party publisher redemption revenue per redemption | $ | 0.80 | $ | 0.75 | 7 | % | $ | 0.80 | $ | 0.74 | 8 | % | |||||
| Total redemption revenue per redemption | $ | 0.92 | $ | 1.14 | (19 | )% | $ | 0.93 | $ | 1.06 | (12 | )% | |||||
Second Quarter 2024 Business Highlights:
- Launched the new and upgraded Family Dollar digital coupon program, which gives customers access to more national offers and an improved shopping experience. The partnership aims to advance Family Dollar’s digital engagement and customer experience strategy, ultimately driving more value and loyalty among its customers in nearly 8,000 store locations. The multi-year agreement, in which Ibotta is the exclusive provider of digital promotions, expands the array of offer types Ibotta supports to include digital coupons.
- Enabled Digital offers on AppCard, a leading personalized marketing and shopper analytics solution for independent grocers. At the end of the quarter, Ibotta’s offers were available at approximately one-third of all AppCard banners.
- Signed and announced partnership with Schnuck Markets Inc. (Schnucks) to roll out Ibotta’s digital offers to Schnucks’ customers. Digital offers from the IPN will become available to Schnucks’ customers later this year. In addition, Ibotta and Schnucks began collaborating on research and development initiatives related to novel ways of delivering personalized savings to consumers.
- Subsequent to the quarter-end, Ibotta and Instacart entered into a multi-year strategic partnership to bring Instacart customers savings on their groceries. Ibotta-provided digital offers will be live on Instacart’s mobile app and website later this year.
Financial Guidance:
Third quarter 2024 outlook summary:
- Revenue of
$91 -$96 million , a year-over-year increase of12% at the midpoint on a non-GAAP basis excluding the breakage benefit during the third quarter of 2023. - Adjusted EBITDA of
$28 -$32 million , representing a margin of32% at the midpoint.
Guidance for Adjusted EBITDA is earnings before interest (income) expense, net, provision for income tax, depreciation and amortization, and excludes stock-based compensation, change in fair value of derivative, loss on debt extinguishment, and other expense, net. We have not reconciled Adjusted EBITDA to GAAP net income because we do not provide guidance on GAAP net income and would not be able to present the various reconciling cash and non-cash items between the GAAP and non-GAAP financial measures since certain items that impact these measures are uncertain or out of our control, or cannot be reasonably predicted, including share-based compensation expense, without unreasonable effort. The actual amounts of such reconciling items could have a significant impact on the Company's GAAP net income.
Use of Non-GAAP Financial Information
Included within this press release are the non-GAAP financial measures of non-GAAP revenue, non-GAAP redemption revenue, adjusted EBITDA, adjusted EBITDA margin, adjusted net income, adjusted net income as a percent of revenue, adjusted diluted net income per share and free cash flow that supplement the condensed financial statements of the Company prepared under generally accepted accounting principles (GAAP). The non-GAAP financial information is presented for supplemental informational purposes only and is not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with GAAP. Please see the accompanying tables for reconciliations of these non-GAAP financial measures to their nearest GAAP equivalents.
Non-GAAP revenue and non-GAAP redemption revenue exclude the breakage benefit. Adjusted EBITDA is earnings before interest (income) expense, net, provision for income tax, depreciation and amortization, and excludes stock-based compensation, change in fair value of derivative, loss on debt extinguishment, and other expense, net. Adjusted EBITDA margin is calculated as Adjusted EBITDA as a percent of revenue. Adjusted net income excludes stock-based compensation, loss on debt extinguishment, change in fair value of derivative, and the related income tax effects. The income tax effect of non-GAAP adjustments is the difference between GAAP and non-GAAP income tax expense. Non-GAAP income tax expense is computed on non-GAAP pre-tax income (GAAP pre-tax income adjusted for non-GAAP adjustments). Adjusted diluted net income per share is calculated as adjusted net income divided by diluted weighted average common shares outstanding. Free cash flow is defined as cash provided by operating activities, less additions to property and equipment and capitalization of software development costs.
The Company's management believes that these non-GAAP measures can assist investors in evaluating the Company's operational trends, financial performance, and cash-generating capacity. Management believes these non-GAAP measures allow investors to evaluate the Company’s financial performance using some of the same measures as management. Investors are cautioned that there are material limitations associated with the use of non-GAAP financial measures versus their nearest GAAP equivalents. Other companies may calculate non-GAAP financial measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of our non-GAAP financial measures as tools for comparison.
Second Quarter 2024 Financial Results Webcast and Conference Call Details
| When: | Tuesday, August 13, 2024 at 2:30 p.m. MT/ 4:30 p.m. ET |
| Live Call: | US/Canada: 877-405-1211; International: +1 215-268-9896 |
| Webcast: | ir.ibotta.com |
| Audio replay: | An audio replay of the call will be available beginning about two hours after the call. To listen to the replay in the United States please dial 877-660-6853 (replay code 13747861). Outside of the United States, please dial 201-612-7415. |
Key Business Terms and Notes
Ibotta Performance Network (IPN): An AI-enabled technology platform that allows CPG brands to deliver digital promotions to consumers via a network of publishers, in a coordinated fashion and on a fee-per-sale basis.
One-time Breakage Benefit: On the Company’s balance sheet, the Company has a user redemption liability balance that is an accumulation of direct-to-consumer redeemers’ account balances net of estimated breakage. Consumers’ accounts that have no activity for six months are considered inactive and charged a
Redeemers: A consumer who has redeemed at least one digital offer within the quarter. If a consumer were to redeem on more than one publisher during that period, they would be counted as multiple redeemers. Year-to-date redeemers are calculated as the average of current year quarter-to-date redeemers.
Redemptions: A verified purchase of an item qualifying for an offer by a client on the IPN.
Redemption Revenue: The Company’s customers promote their products and services to consumers through cash back offers on the IPN. The Company earns a fee per redemption, which is recognized in the period in which the redemption occurred. The Company may also charge fees to set up a redemption campaign which are deferred and recognized over the average duration of historical redemption campaigns.
About Ibotta ("I bought a...")
Ibotta (NYSE: IBTA) is a leading performance marketing platform allowing brands to deliver digital promotions to over 200 million consumers through a network of publishers called the Ibotta Performance Network (IPN). The IPN allows marketers to influence what people buy, and where and how often they shop – all while paying only when their campaigns directly result in a sale. American shoppers have earned over
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any statements relating to expectations concerning matters that are not historical facts may constitute forward-looking statements. Forward-looking statements may include, without limitation, statements regarding Instacart contributing revenue by the end of the year, digital offers from the IPN becoming available to Schnucks’ customers later this year, Ibotta-provided digital offers being live on Instacart’s mobile app and website later this year, and the Company’s financial guidance, such as revenue and Adjusted EBITDA. When words such as “believe,” “expect,” “anticipate,” “will”, “outlook” or similar expressions are used, the Company is making forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it cannot give readers any assurance that such expectations will prove correct. These forward-looking statements involve risks, uncertainties and assumptions, including those related to the Company’s relatively limited operating history, which makes it difficult to evaluate the Company’s business and prospects, the demands and expectations of clients and the ability to attract and retain clients. The actual results may differ materially from those anticipated in the forward-looking statements as a result of numerous factors, many of which are beyond the control of the Company. These and other factors are disclosed in the Company’s reports filed from time to time with the Securities and Exchange Commission, available at www.sec.gov. Readers are urged not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company does not intend to update any forward-looking statement contained in this press release to reflect events or circumstances arising after the date hereof, except as required by law.
| Ibotta, Inc. CONDENSED STATEMENTS OF OPERATIONS (In thousands, except share and per share amounts) (unaudited) | |||||||||||||||
| Three months ended June 30, | Six months ended June 30, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Revenue | $ | 87,926 | $ | 77,385 | $ | 170,253 | $ | 135,076 | |||||||
| Cost of revenue(1) | 12,283 | 9,644 | 22,798 | 20,894 | |||||||||||
| Gross profit | 75,643 | 67,741 | 147,455 | 114,182 | |||||||||||
| Operating expenses(1): | |||||||||||||||
| Sales and marketing | 50,018 | 22,208 | 78,147 | 43,810 | |||||||||||
| Research and development | 17,526 | 12,220 | 31,167 | 23,915 | |||||||||||
| General and administrative | 28,708 | 12,737 | 41,862 | 26,071 | |||||||||||
| Depreciation and amortization | 1,048 | 762 | 2,031 | 1,514 | |||||||||||
| Total operating expenses | 97,300 | 47,927 | 153,207 | 95,310 | |||||||||||
| (Loss) income from operations | (21,657 | ) | 19,814 | (5,752 | ) | 18,872 | |||||||||
| Interest income (expense), net | 2,672 | (1,545 | ) | 867 | (3,217 | ) | |||||||||
| Loss on debt extinguishment | (9,630 | ) | – | (9,630 | ) | – | |||||||||
| Other expense, net | (1,414 | ) | (238 | ) | (3,116 | ) | (1,741 | ) | |||||||
| (Loss) income before provision for income taxes | (30,029 | ) | 18,031 | (17,631 | ) | 13,914 | |||||||||
| Provision for income taxes | (3,937 | ) | (2,690 | ) | (7,038 | ) | (2,856 | ) | |||||||
| Net (loss) income | $ | (33,966 | ) | $ | 15,341 | $ | (24,669 | ) | $ | 11,058 | |||||
| Net (loss) income per share: | |||||||||||||||
| Basic | $ | (1.32 | ) | $ | 1.73 | $ | (1.41 | ) | $ | 1.25 | |||||
| Diluted | $ | (1.32 | ) | $ | 0.58 | $ | (1.41 | ) | $ | 0.42 | |||||
| Weighted average common shares outstanding: | |||||||||||||||
| Basic | 25,659,465 | 8,882,350 | 17,484,092 | 8,851,194 | |||||||||||
| Diluted | 25,659,465 | 26,563,550 | 17,484,092 | 26,528,229 | |||||||||||
(1) Amounts include stock-based compensation expense as follows (in thousands):
| Three months ended June 30, | Six months ended June 30, | ||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||
| Cost of revenue | $ | 365 | $ | 133 | $ | 523 | $ | 353 | |||
| Sales and marketing | 26,808 | 558 | 30,430 | 1,122 | |||||||
| Research and development | 4,036 | 510 | 4,589 | 1,037 | |||||||
| General and administrative | 13,608 | 554 | 14,120 | 1,072 | |||||||
| Total stock-based compensation expense | $ | 44,817 | $ | 1,755 | $ | 49,662 | $ | 3,584 | |||
| Ibotta, Inc. CONDENSED BALANCE SHEETS (In thousands) | |||||||
| June 30, 2024 | December 31, 2023 | ||||||
| (unaudited) | |||||||
| Assets | |||||||
| Current Assets: | |||||||
| Cash and cash equivalents | $ | 317,858 | $ | 62,591 | |||
| Accounts receivable | 209,023 | 226,439 | |||||
| Prepaid expenses and other current assets | 7,353 | 9,314 | |||||
| Total current assets | 534,234 | 298,344 | |||||
| Property and equipment | 2,272 | 2,541 | |||||
| Capitalized software development costs | 14,361 | 12,844 | |||||
| Equity investment | 4,531 | 4,531 | |||||
| Other long-term assets | 652 | 1,530 | |||||
| Total assets | $ | 556,050 | $ | 319,790 | |||
| Liabilities, Redeemable Convertible Preferred Stock, and Stockholders’ Equity | |||||||
| Current liabilities: | |||||||
| Accounts payable | $ | 5,235 | $ | 8,937 | |||
| Due to third-party publishers | 80,542 | 73,155 | |||||
| Deferred revenue | 2,831 | 2,628 | |||||
| User redemption liability | 81,044 | 84,531 | |||||
| Accrued expenses | 16,918 | 24,582 | |||||
| Other current liabilities | 3,596 | 4,317 | |||||
| Total current liabilities | 190,166 | 198,150 | |||||
| Long-term liabilities: | |||||||
| Long-term debt, net | – | 64,448 | |||||
| Convertible notes derivative liability | – | 25,400 | |||||
| Other long-term liabilities | 6,182 | 3,864 | |||||
| Total liabilities | 196,348 | 291,862 | |||||
| Redeemable convertible preferred stock | – | – | |||||
| Stockholders’ equity: | |||||||
| Preferred stock | – | – | |||||
| Common stock | – | – | |||||
| Class A common stock | – | – | |||||
| Class B common stock | – | – | |||||
| Additional paid-in capital | 593,559 | 237,116 | |||||
| Accumulated deficit | (233,857 | ) | (209,188 | ) | |||
| Total stockholders' equity | 359,702 | 27,928 | |||||
| Total liabilities, redeemable convertible preferred stock, and stockholders' equity | 556,050 | 319,790 | |||||
| Ibotta, Inc. CONDENSED STATEMENTS OF CASH FLOWS (In thousands) (unaudited) | |||||||
| Six months ended June 30, | |||||||
| 2024 | 2023 | ||||||
| Operating activities | |||||||
| Net (loss) income | $ | (24,669 | ) | $ | 11,058 | ||
| Adjustments to reconcile net (loss) income to net cash provided by operating activities: | |||||||
| Depreciation and amortization | 4,023 | 3,254 | |||||
| Impairment of capitalized software development costs | 366 | 692 | |||||
| Stock-based compensation expense | 24,802 | 3,584 | |||||
| Common stock warrant expense | 24,860 | – | |||||
| Credit loss expense | 681 | 409 | |||||
| Loss on extinguishment of debt | 9,630 | – | |||||
| Amortization of debt discount and issuance costs | 1,029 | 1,641 | |||||
| Change in fair value of convertible notes derivative liability | 3,085 | 1,700 | |||||
| Other | 23 | 40 | |||||
| Changes in assets and liabilities: | |||||||
| Accounts receivable | 16,741 | (23,628 | ) | ||||
| Other current and long-term assets | (1,603 | ) | 895 | ||||
| Accounts payable | (2,917 | ) | 745 | ||||
| Due to third-party publishers | 7,387 | 11,257 | |||||
| Accrued expenses | (7,787 | ) | (2,347 | ) | |||
| Deferred revenue | 203 | 596 | |||||
| User redemption liability | (3,487 | ) | (8,069 | ) | |||
| Other current and long-term liabilities | 2,019 | (756 | ) | ||||
| Net cash provided by operating activities | 54,386 | 1,071 | |||||
| Investing activities | |||||||
| Additions to property and equipment | (353 | ) | (202 | ) | |||
| Additions to capitalized software development costs | (4,436 | ) | (3,560 | ) | |||
| Maturities of short-term investments | – | 27,900 | |||||
| Net cash (used in) provided by investing activities | (4,789 | ) | 24,138 | ||||
| Financing activities | |||||||
| Proceeds from exercise of stock options | 4,706 | 671 | |||||
| Proceeds from initial public offering, net | 206,692 | – | |||||
| Deferred offering costs | (5,637 | ) | – | ||||
| Other financing activities | (91 | ) | – | ||||
| Net cash provided by financing activities | 205,670 | 671 | |||||
| Net change in cash and cash equivalents | 255,267 | 25,880 | |||||
| Cash and cash equivalents, beginning of period | 62,591 | 17,818 | |||||
| Cash and cash equivalents, end of period | $ | 317,858 | $ | 43,698 | |||
The following table disaggregates the Company’s direct-to-consumer and third-party publishers revenue by redemption and ad & other revenue:
Supplemental Revenue Detail
| Three months ended June 30, | Six months ended June 30, | ||||||||||||||
| 2024 | 2023 | % Change | 2024 | 2023 | % Change | ||||||||||
| (in thousands, except percentages) | |||||||||||||||
| Direct-to-consumer revenue | |||||||||||||||
| Redemption revenue | $ | 32,300 | $ | 46,530 | (31)% | $ | 65,282 | $ | 79,801 | (18)% | |||||
| Ad & other revenue | 13,975 | 19,114 | (27)% | 28,313 | 35,102 | (19)% | |||||||||
| Total direct-to-consumer revenue | 46,275 | 65,644 | (30)% | 93,595 | 114,903 | (19)% | |||||||||
| Third-party publishers revenue | |||||||||||||||
| Redemption revenue | 41,651 | 11,741 | 76,658 | 20,173 | |||||||||||
| Ad & other revenue | — | — | —% | — | — | —% | |||||||||
| Total third-party publishers revenue | 41,651 | 11,741 | 76,658 | 20,173 | |||||||||||
| Total | |||||||||||||||
| Redemption revenue | 73,951 | 58,271 | 141,940 | 99,974 | |||||||||||
| Ad & other revenue | 13,975 | 19,114 | (27)% | 28,313 | 35,102 | (19)% | |||||||||
| Total revenue | $ | 87,926 | $ | 77,385 | $ | 170,253 | $ | 135,076 | |||||||
The following tables show the Company’s non-GAAP financial metrics reconciled to the comparable GAAP financial metrics included in this release:
Reconciliation of Adjusted EBITDA
| Three months ended June 30, | Six months ended June 30, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| (in thousands) | |||||||||||||||
| Net (loss) income | $ | (33,966 | ) | $ | 15,341 | $ | (24,669 | ) | $ | 11,058 | |||||
| Add (deduct): | |||||||||||||||
| Interest (income) expense, net | (2,672 | ) | 1,545 | (867 | ) | 3,217 | |||||||||
| Depreciation and amortization | 2,114 | 1,640 | 4,023 | 3,255 | |||||||||||
| Stock-based compensation | 44,817 | 1,755 | 49,662 | 3,584 | |||||||||||
| Change in fair value of derivative | 1,385 | 200 | 3,085 | 1,700 | |||||||||||
| Loss on debt extinguishment | 9,630 | – | 9,630 | – | |||||||||||
| Provision for income taxes | 3,937 | 2,690 | 7,038 | 2,856 | |||||||||||
| Other expense, net | 29 | 36 | 31 | 41 | |||||||||||
| Adjusted EBITDA | $ | 25,274 | $ | 23,207 | $ | 47,933 | $ | 25,711 | |||||||
| Revenue | $ | 87,926 | $ | 77,385 | $ | 170,253 | $ | 135,076 | |||||||
| Net (loss) income as a percent of revenue | (39 | )% | 20 | % | (14 | )% | 8 | % | |||||||
| Adjusted EBITDA margin | 29 | % | 30 | % | 28 | % | 19 | % | |||||||
Reconciliation of Adjusted Net Income
| Three months ended June 30, | Six months ended June 30, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| (in thousands) | |||||||||||||||
| Net (loss) income | $ | (33,966 | ) | $ | 15,341 | $ | (24,669 | ) | $ | 11,058 | |||||
| Stock-based compensation | 44,817 | 1,755 | 49,662 | 3,584 | |||||||||||
| Loss on debt extinguishment | 9,630 | – | 9,630 | – | |||||||||||
| Change in fair value of derivative | 1,385 | 200 | 3,085 | 1,700 | |||||||||||
| Adjustment for income taxes | (2,007 | ) | 960 | (2,451 | ) | 1,071 | |||||||||
| Adjusted net income | $ | 19,859 | $ | 18,256 | $ | 35,257 | $ | 17,413 | |||||||
| Revenue | $ | 87,926 | $ | 77,385 | $ | 170,253 | $ | 135,076 | |||||||
| Adjusted net income as a percent of revenue | 23 | % | 24 | % | 21 | % | 13 | % | |||||||
| Weighted average shares of common stock outstanding, diluted | 25,659,465 | 26,563,550 | 17,484,092 | 26,528,229 | |||||||||||
| Net (loss) income per share, diluted | $ | (1.32 | ) | $ | 0.58 | $ | (1.41 | ) | $ | 0.42 | |||||
| Adjusted weighted average common shares outstanding, diluted | 29,022,347 | 26,563,550 | 20,065,490 | 26,528,229 | |||||||||||
| Adjusted net income per share, diluted | $ | 0.68 | $ | 0.69 | $ | 1.76 | $ | 0.66 | |||||||
Reconciliation of Non-GAAP Revenue
| Three months ended June 30, | Six months ended June 30, | ||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||
| (in thousands) | |||||||||||||
| Revenue | $ | 87,926 | $ | 77,385 | $ | 170,253 | $ | 135,076 | |||||
| Breakage benefit | — | (9,400 | ) | — | (10,570 | ) | |||||||
| Non-GAAP revenue | $ | 87,926 | $ | 67,985 | $ | 170,253 | $ | 124,506 | |||||
Reconciliation of Non-GAAP Redemption Revenue
| Three months ended June 30, | Six months ended June 30, | ||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||
| (in thousands) | |||||||||||||
| Redemption revenue | $ | 73,951 | $ | 58,271 | $ | 141,940 | $ | 99,974 | |||||
| Breakage benefit | — | (9,400 | ) | — | (10,570 | ) | |||||||
| Non-GAAP redemption revenue | $ | 73,951 | $ | 48,871 | $ | 141,940 | $ | 89,404 | |||||
Reconciliation of Free Cash Flow
| Three months ended June 30, | Six months ended June 30, | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| (in thousands) | |||||||||||||||
| Net cash provided by (used in) operating activities | $ | 35,020 | $ | (1,621 | ) | $ | 54,386 | $ | 1,071 | ||||||
| Additions to property and equipment | (201 | ) | (191 | ) | (353 | ) | (202 | ) | |||||||
| Additions to capitalized software development costs | (2,121 | ) | (2,565 | ) | (4,436 | ) | (3,560 | ) | |||||||
| Free cash flow | $ | 32,698 | $ | (4,377 | ) | $ | 49,597 | $ | (2,691 | ) | |||||
Contact
Corporate Communications
Hilary O’Byrne, hilary.obyrne@ibotta.com
Investor Relations
Shalin Patel, shalin.patel@ibotta.com
FAQ
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